(UNDATED) - Vectren announced Wednesday that this season's heating bills should be lower than last year.

How low? Assuming we have normal winter weather, Vectren said bills should be about 5-percent lower.

That's because natural gas rates are at levels not seen since 2001.

"For the past two years, natural gas prices have remained flat with prices stabilizing in the 40 to 45-cents per therm range; where as, three years ago, the market produced prices as high as $1.00 to $1.20," said Vectren Chairman, President and CEO Carl Chapman. "Given gas costs represent 60 to 70 percent of winter bills, these lower prices are helping keep bill amounts down. In fact, the forecasted bill amounts for this winter have not been this low in nearly a decade."

Last year, a typical residential customer would have paid roughly $450 for November through March natural gas service based on normal weather.

This year, based upon expected natural gas commodity costs, that same customer could expect to pay around $440 in heating costs based on the average household consumption of approximately 550 therms.

Bills will vary by customer depending on the size and age of the home, number of gas appliances, number in the household, thermostat settings and levels of insulation.